Tenant Evictions at a Record High

Tenant evictions are at record high, with landlords evicting more than 170 tenants every day in 2015 according to the Ministry of Justice (MoJ).

The figures cover England and Wales and show that bailiffs forcibly removed more than 42,720 households from their rented accommodation.

Repossessions have increased by 2% over the year and by 53% since 2010.

A breakdown of the figures reveal that in England housing associations evicted nearly 19,100 households while private landlords evicted 5,919.

Another 16,440 evictions were made under the 'accelerated procedure' to evict tenants who have assured shorthold tenancies and these could have been carried out by social or private landlords.

London is the centre for evictions

The highest rate of repossessions was carried out in Newham, a London borough, and those living in the capital are more likely to lose their homes than elsewhere in the country.
Indeed, in the top 20 list of areas for landlord repossessions, 16 of those areas are in London.

The chief executive of Shelter, the housing charity, Campbell Robb, says the figures are proof that welfare cuts and the growing shortage of affordable homes are having a dire impact on those who rent property.

In addition, he pointed to rapidly rising rents as the source of most problems with affordability. His view is underlined by the Association of Residential Letting Agents (ARLA) which recently revealed that tenants are spending on average 22% of their wages on rent.

Landlords urged to delay replacing furniture

Meanwhile, landlords are being told not to replace any furniture in their rented properties until after April 6. The advice comes from the accountancy firm Blick Rothenberg who say that the costs will become deductible under the new relief system. Until then, landlords have a 10% wear and tear allowance.

A personal tax manager with the firm, Robert Pullen, said: “The wear and tear allowance will no longer be available for fully furnished residential properties.

Replacing furniture, appliances, furnishings and kitchenware

“Instead the actual cost will be deductible if it is for replacing furniture, appliances, furnishings and kitchenware which are provided for the tenant's use.”

He acknowledged that landlords who have a fully furnished property may feel that the new regime will add to the complicated area of what is allowed as a deductible cost.

Mr Pullen went on to say that the new regime is positive news for those landlords who own unfurnished or part-furnished properties.

When the system changes, HMRC says it will provide “comprehensive guidance” on what can be a complicated area, and on whether a replacement is to be considered as an improvement or not.

Following on from the government’s announcement for a national mandatory HMO licensing scheme, comes news of new minimum room size requirements for HMO rental properties.The government says this will help reduce the issues of over-crowding and also deal with po